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The concept of strategic
human resource
management
As Baird and Meshoulam (1988) remark: ‘Business objectives are accom-
plished when human resource practices, procedures and systems are
developed and implemented based on organizational needs, that is, when a
strategic perspective to human resource management is adopted.’ The aim of
this chapter is to explore what this involves. It includes 1) a definition of
strategic human resource management (strategic HRM), 2) an analysis of its
underpinning concepts – the resource-based view and strategic fit, and 3) a
description of how strategic HRM works, namely the universalistic, contin-
gency and configurational perspectives defined by Delery and Doty (1996)
and the three approaches associated with those perspectives – best practice,
best fit and bundling. The chapter ends with discussions on the reality of
strategic HRM and the practical implications of the theories reviewed earlier.
STRATEGIC HRM DEFINED
Strategic HRM is an approach that defines how the organization’s goals will
be achieved through people by means of HR strategies and integrated HR
policies and practices.